North Carolina Down Payment Support Programs

Online Merchant account - These systems will be the Mortgage Credit Certificate and also the Down Payment Assistance System.

If you meet the requirements for one of those programs and you also purchase a property and December 1, 2009, it is also possible to qualify for the $8,000 tax credit just enacted into law in the Federal Economic Stimulus Plan.

First, who's a First Time Home Buyer? There is a first-time Home Buyer someone who has not owned a house in the previous three years. This is the exact same qualifying definition for the $8,000 tax credit.

What's a Mortgage Credit Certificate and Who Qualifies?

All home owners can claim an itemized deduction. The MCC takes this a step further.

You can claim 20% of the interest you pay on your mortgage as a credit on your own federal income taxes, should you qualify for the MCC. It's possible for you to save around $2,000 on your taxes.

You may have the ability to unite this with the $8,000 tax credit if you do qualify for 2009, for the MCC. This would reduce a buyer's tax liability by $10,000.

Household income means the “gross income of the mortgagor and any individual expected to reside in the residence who is 18 years old or older.”

The income and house price limits that apply in Durham Orange and Chatham Counties are given below.

MCC Income Limits 1 Individual $61,500 2 Individuals $61,500 3 Persons $70,500 4 Individuals $70,500

MCC Sales Price Limitations New House $220,000 Existing Residence $210,000

Who Qualifies for Down Payment Help?

The customer just needs to pay $1,000 of their own funds and the load would pay up to .

This plan has stricter income limits than the MCC plan outlined above. Like the MCC application, it can be used in combination with all the new $8,000 tax credit on home purchases between December 1, 2009 and January 1, 2009. The down payment help, nonetheless, can not be utilized together with all the MCC. This really is an either or situation.

House price limitations that apply in Durham, Orange and Chatham Counties and the income are given below.

Down Payment Assistance Income Limits

1 Person $39,950 2 Individuals $45,650 3 Persons $51,350 4 Individuals $57,050

Down Payment Support Sales Cost Limits New House $210,000 Existing Residence $210,000